TrustedCars

TrustedCars aims to change car ownership, adding a new way of owning a vehicle. It will disrupt car dealership like Uber disrupted taxi, making it a business of mobility providers.

How it works:

TrustedCars solution allows users to choose a car from a pool of all participating car dealers, sign a smart contract and drive it as long as you want for a small weekly fee that includes all expenses. The expenses this fee covers include warranty, roadside assistance, maintenance, insurance, taxes and registration. You can swap or return the car anytime.

The company follows the trend of customers liking simple and flexible solutions instead of long term contracts that are associated with uncertainty. This app connects people who need a car but don’t want to be committed to it, and dealers who have cars sitting on parking lots and costing them money. The whole process is transparent and involves no papers or bureaucracy since smart contracts are easy and safe to use.

Thus dealers obtain another source of income from a place they would never expect, unsold cars. The platform helps dealers to go digital with a simple all-in-one solution. TrustedCars believe this business model will change the industry forever.

One of aces in the sleeve of this startup is that it is not a startup at all. It evolves from an existing business that operates in Europe and already has over a 100 dealers working with them. It is an online car market and in 2017 the company listed over 30,000 cars.

Innovation:

TrustedCars brings sharing economy to the world of car dealership, introducing a new, commitment-free way of owning a car. Customers have access to cars with no hassle, dealers get profit out of unsold cars. Everybody wins. This company is likely to disrupt the industry.

Innovation score: High

Token value:

FLEX is a utility token of the platform, all payments are going to require users to purchase this token. As the amount of users grows, so will the price of the token, making room for some profit for the ICO investors.

Since the platform is likely to host a lot of transactions because of the nature of the app and the progress they have already done in dealer acquisition, FLEX can be expected to rise in price significantly.

Token value score: High

White paper:

The white paper shows a detailed market overview, outlining problems on it and suggesting solutions of their own. It presents a network of partners the company acquired during the years of operation, shows the business model and justifies FLEX’s value.

White paper score: High

Roadmap:

TrustedCars has been in operation since 2015 as a used cars marketplace in Germany. It got a series of key partnerships already and listed 30,000 cars in 2017.

This ICO is the next step in development of the business. The app will be launched in beta in the second half of 2018 in Germany. In the first half of 2019 it will be officially launched on iOS and Android. In the second half of the year the app will be set up in UK, France, Italy and Spain. In 2020 the company will expand to the rest of Europe and beyond.

Business model:

The company charges a 10-15% service fee from the dealer for a transaction. It also sells advertising services like priority listing. Third party service providers like insurance companies are going to pay a fee as well.

This revenue model ensures the company has enough revenue to progress and doesn’t scare off users with big fees.

Business model score: High

Team:

CEO doesn’t have a long experience, but he worked as a management

consultant for major banks and car manufacturers for several years before starting this company. CTO has over 20 years of experience and has managed big e-commerce platforms. Head of Sales has worked for car manufacturers and car rental companies in a similar position.

There are a lot of influential people among advisors. Serial entrepreneurs with worldwide recognition, people who managed VC funds, an expert in Big Data, a Mercedes-Benz’s Development Manager for the European market, and experts in logistics, finance and law.

Team score: High

Competitors:

TrustedCars competes against leasing and P2P car sharing companies. The former want too much commitment, the latter don’t match up with high standards. Trusted cars offers a third way of owning a car, straight from a dealer. This, and a set of strategic partnerships, acquired over two years of operation, gives it a head start in the business.

Competitors score: High

Overall thoughts:

TrustedCars is a company that seeks to disrupt the industry by giving people a new way of owning cars. It has a good business plan, a team that has been successfully working together for two years and a network of partners that will be very beneficial at the first stages.

Considering its plans to arrange for FLEX to be used for car washing and other vehicle related service, this token is about to have a very bright future.